COMMUNICATIONS giant Motorola has recorded its biggest ever quarterly loss, but insists it is on course for a return to profitability by the end of the year.
The world's largest mobile phone manufacturer took analysts by surprise by posting a $48 million profit before exceptionals, avoiding a predicted sixth quarterly loss and confounding critics.
But the one-off items, many tied to the company's massive restructuring programme, brought a massive $2.3 billion loss, this comparing with $759 million for the same quarter last time.
Last month announced it was to cut another 7,000 jobs world-wide, 3,000 of these from its Global Technologies Systems Division, of which the Swindon operation is a part of. It said workforce reductions would start immediately and continue through to next year for the division to break-even this year.
It is understood that Swindon staff are still waiting to hear where the jobs axe will fall in the latest round of cuts.
Meanwhile, Motorola has been upbeat about the latest quarter figures seeing a clear signs of recovery ahead of schedule. Top executives at its US headquarters were looking for break-even figures by the end of the year with a return to profitability next year.
Their new figures, which have seen sales of $6.7 billion for the year, down from $7.5, nevertheless beating its forecast of $6.4 billion.
Investor confidence has been further helped by Motorola's recently announced plan to further cut its global workforce by 7,000, reducing the numbers from 150,000 two years ago to a planned 93,000.
Motorola president Edward Breen said: "After 21 months of hard work, this quarter's results add the return to profitability, excluding the impact of special items, to Motorola's improved cash and balance sheet performance.
"Not only have we announced the actions that will substantially complete the company's restructuring program but, excluding the impact of special items, we returned to profitability one quarter earlier than previously expected.
We generated positive operating cash flow of approximately $520 million and all of our businesses remain highly focused on generating sales growth, positive operating cash flow, and improving profitability."
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